pruflexicash vs pruwealth

[Shion]

If you do not decide and have no control on your money/savings, that is a total gone case. Even if you do not have the time, you should allocate some time in this.

Why let others control and decide something so sensitive instead of you doing the control and decision ?

Time is an easy excuse factor. I everyday work so hard in office but I can still dig time out everyday to do my own personal chores. Unless you tell me you work 20 hrs per day then I have nth to say.

 

[Lewis.T]

You are just trying to justify the point that you need a 3rd party to guard your finances.

Some things can be learned and picked up easily. Does DIY-ing your house something easy to learn and pick up ?

The same could be said for finance? If it was why are we still here trying to learn more?

Or are we going back into the STI ETF will be better and is one size fits all for all risk appetites and purposes again? It didn't end well the last time

http://forums.hardwarezone.com.sg/stocks-shares-indices-92/term-vs-wholelife-4486206.html

Look, time and time again we have said if you prefer doing it yourself for more potential returns, please do so. You are likely to achieve it if you can remain disciplined and non-emotional. For some others, they want products that must be capital guaranteed and fuss-free. Charge to credit card or giro so that I don't have to think about it anymore but at the end of the day still have something of value.

 

[Shion]

I dont end well with you anyway

I shouldnt had replied to you

 

[Shion]

The same could be said for finance? If it was why are we still here trying to learn more?

Or are we going back into the STI ETF will be better and is one size fits all for all risk appetites and purposes again? It didn't end well the last time

http://forums.hardwarezone.com.sg/stocks-shares-indices-92/term-vs-wholelife-4486206.html

Look, time and time again we have said if you prefer doing it yourself for more potential returns, please do so. You are likely to achieve it if you can remain disciplined and non-emotional. For some others, they want products that must be capital guaranteed and fuss-free. Charge to credit card or giro so that I don't have to think about it anymore but at the end of the day still have something of value.

Take a look at mousehunt. Obviously that fellow dont look like he wants to learn. Quote him and tell him that, dont quote me and tell me.

 

[Lewis.T]

Take a look at mousehunt. Obviously that fellow dont look like he wants to learn. Quote him and tell him that, dont quote me and tell me.

He doesn't want to, but he is ok with that decision, and I have nothing against that. You're the one forcing your opinions down everybody's throat. Like I said, different people have different priorities in life. Money is not the #1 for everybody.

But lets stop here and focus on TS's concerns, you can give your side of the argument to him.

For me, I'll just help by explaining the plan and giving him options to consider. Whatever he does with the plan should be based off hearing arguments from both sides, which I think is the best way to reach a decision.

 

[Perisher]

The same could be said for finance? If it was why are we still here trying to learn more?

Or are we going back into the STI ETF will be better and is one size fits all for all risk appetites and purposes again? It didn't end well the last time

http://forums.hardwarezone.com.sg/stocks-shares-indices-92/term-vs-wholelife-4486206.html

Look, time and time again we have said if you prefer doing it yourself for more potential returns, please do so. You are likely to achieve it if you can remain disciplined and non-emotional. For some others, they want products that must be capital guaranteed and fuss-free. Charge to credit card or giro so that I don't have to think about it anymore but at the end of the day still have something of value.

Because some people refuse to see that buying ETF ain't a one size fits all, despite telling them a dozen times it's just a beginning.
Teach everyone math but whether they wanna use it is up to them but math is useful in life. It's a step.

Buying ETF+bond is simpler than buying insurance policy and has downside protection while having higher up side.

The only part I agree with you is discipline which can be solved with OCBC or POSB's plan.

 

[Shion]

He doesn't want to, but he is ok with that decision, and I have nothing against that. You're the one forcing your opinions down everybody's throat. Like I said, different people have different priorities in life. Money is not the #1 for everybody.

Oh ? Did I ? I am sorry if I give you that impression.

I only know that time you tried to force your opinion on PruFlexiCash down my throat. You tried so hard to force the fact that the product is good for like, 6 pages, and you failed to do so.

Not going to reply to you after this.

 

[Lewis.T]

Oh ? Did I ? I am sorry if I give you that impression.

I only know that time you tried to force your opinion on PruFlexiCash down my throat. You tried so hard to force the fact that the product is good for like, 6 pages, and you failed to do so.

Not going to reply to you after this.

I'm sorry logic doesn't appeal to you, but everybody who has kept the plan since inception to maturity has seen growth. Nobody has made a loss from this plan if they didn't surrender early or take a policy loan.

Force my opinion? My opinion has always been to minimize losses, which is why I am against surrendering the plan. I'd rather you hold onto the plan and do something meaningful with it like using the guaranteed cashback for milestones or just put it into another investment that you really like, such as the STI ETF.

Also, I'm not against the STI ETF. If you can do so and want to do so, please do it! You can probably earn more than endowments that way. But you cannot expect everybody to do that, and it does not fit everybody's criteria. If that was the case, maybe the government should scrap the CPF and just force everybody to buy STI ETF so they get hounded less when people are old and cannot retire.

When you surrender a plan, chances are you are very likely to make a loss. I don't want people to make losses, especially when their original intention was to grow their $.

 

[Perisher]

Hmm, guess it will always end up like this. And quite sadly, most of the time no one will talk for the insurance products except the insurance agents.
wts2013 has argued for wholelife plans, not endowment IIRC in that thread.

And that thread is about wholelife, not endowment, what's the difference again?

 

[Perisher]

I'm sorry logic doesn't appeal to you, but everybody who has kept the plan since inception to maturity has seen growth. Nobody has made a loss from this plan if they didn't surrender early or take a policy loan.

Force my opinion? My opinion has always been to minimize losses, which is why I am against surrendering the plan. I'd rather you hold onto the plan and do something meaningful with it like using the guaranteed cashback for milestones or just put it into another investment that you really like, such as the STI ETF.

When you surrender a plan, chances are you are very likely to make that loss. I don't want people to make losses.

So has everyone who has started investing in ETF since inception if they can keep it for decades.

 

[Lewis.T]

So has everyone who has started investing in ETF since inception if they can keep it for decades.

Yes, but you don't get to choose the inception date for ETF. I cant go to the SGX and say I want to buy one lot of ETF at inception now please.

A better argument might be to say nobody has made a loss if they DCI into ETF for the past 15 years, but the SPDR STI ETF hasn't been around that long either.

Edit: About the whole life vs term part, it was just to show that there are people who disagree that STI ETF is the only way to go. It does not fit into some of their own personal criterias for a financial plan.

 

[Perisher]

Yes, but you don't get to choose the inception date for ETF. I cant go to the SGX and say I want to buy one lot of ETF at inception now please.

A better argument might be to say nobody has made a loss if they DCI into ETF for the past 15 years, but the SPDR STI ETF hasn't been around that long either.

Yup, that's why can't say but if one does a mix of IWDA+STI+bond, no loss.

 

[Perisher]

Edit: About the whole life vs term part, it was just to show that there are people who disagree that STI ETF is the only way to go. It does not fit into some of their own personal criterias for a financial plan.

Disagree is fine, bound to have some.
It isn't the only way to go but it's a better start than endowment/ilp since it's easier to understand and one pays less while investing more.

 

[Lewis.T]

Disagree is fine, bound to have some.
It isn't the only way to go but it's a better start than endowment/ilp since it's easier to understand and one pays less while investing more.

Yes that's a good argument. This should be one of the arguments that the TS can base his choice to surrender on.

If he feels the upside to this is worth more than the amounts he has already put into the plan, then he should surrender. If he does not, then he can hold onto it and let the plan fulfil its original purpose while not making an immediate loss by surrendering.

The absolute worst thing financially you can ask a person to do to an insurance plan is to surrender it. We need to take one step back and view the overall picture first before coming to that conclusion.

 

[chirppy]

But then I see TS already paid $5400, I think just maintain, since it is a sizable amount.

But here is one thing...did the agent present this product as a pure savings or ?

It was mentioned to me as a savings plan with some insurance benefits. I treat it as some sort of forced savings though but realised now there are more worthy plans out there. Any way to know if I surrender now how much will I lose?

 

[chirppy]

My feel is that you should not surrender your flexicash. You have paid about $5400 till now. If you surrender it, you will not get much back or even nothing.

If you can afford it, you may want to buy another Pruwealth. The lowest premium for Pruwealth is $200 per month.

Yes I had thought about this before. For people like use who's not investment savvy, I never invest by myself. I treat all these as some kind of forced savings on TOP of my regular savings. But anyway to know if I surrender the pruflexicash now how much will I get back? Need to do some math before deciding next course of actions

 

[Asphodeli]

Yes I had thought about this before. For people like use who's not investment savvy, I never invest by myself. I treat all these as some kind of forced savings on TOP of my regular savings. But anyway to know if I surrender the pruflexicash now how much will I get back? Need to do some math before deciding next course of actions

You get $ on the third year leh, IIRC. For $300 a month that means you have to shell out about $10k before you can see $1.8k (I think?) being returned to you in the third year if you choose to take the cash. Otherwise you can leave it with Prudential for interest.

 

[bibu00]

If ts have time to come to forums and read up on this policy, he has time to read up on buying sti etf and helping himself to save potentially thousands of dollars that is going into buying his agents' new BMW.

 

[chirppy]

Then how about pruwealth? I was thinking of putting another portion of my savings like 200 into pruwealth. All I heard from the agents was how good this is but I'm sure there are negatives to it and anyone here can enlighten me more on this?

 

[Shion]

It was mentioned to me as a savings plan with some insurance benefits. I treat it as some sort of forced savings though but realised now there are more worthy plans out there. Any way to know if I surrender now how much will I lose?

GG

This is not a savings plan at all. Another case of misrepresentation.

If you surrender now, you will lose a lot since your premiums are pretty high, like what @Asphodeli mentioned:

You get $ on the third year leh, IIRC. For $300 a month that means you have to shell out about $10k before you can see $1.8k (I think?) being returned to you in the third year if you choose to take the cash. Otherwise you can leave it with Prudential for interest.

So if you want to know what is your surrender value now, it is best to call up Prudential and ask them directly. But honestly I think the amount will be a very pathetic sum compared to the $5400 paid to date.

If your amount paid to date is like $1k or $2k only, then cancel still ok. But at $5.4k, really need to re-think carefully...